How AI Scams on TikTok are Trickling Money from Nigerians

When Mohammed Yusuf left his low-paying teaching job in Ilorin, Kwara State, in October 2025, he hoped to find a better way to cope with Nigeria's tough economy. After weeks of looking for jobs without luck, he borrowed money to start a Point-of-Sale (PoS) business, believing it would help him survive.

As Mr Yusuf searched online for ways to earn money, TikTok's algorithm seemed to pick up on his interests. His feed started filling up with video ads that promised financial help like grants, loans, giveaways, and investment chances. One ad, featuring OPay's logo and a convincing Nigerian voice, claimed the fintech company was giving away free PoS machines and a cash grant of N200,000 ($145.15) to support operators.

Believing the offer was real, Mr Yusuf clicked the link to apply and shared his phone number and OPay account details. He did not know that the ads were fake, made by AI to trick unsuspecting Nigerians. A few hours later, a man claiming to be from OPay called him, talked about delivering the PoS machine, and asked for a one-time password (OTP) to confirm his grant eligibility.

"I saw a video from one of their staff on TikTok that they wanted to give us money and PoS machines. Everything looked real and was even promoted as a sponsored ad, so I never suspected it was a scam," Mr Yusuf shared.

The truth hit him a few hours later when he returned to his PoS stand. He found that about N150,000 ($108.86), almost all his business capital, had vanished from his account through betting voucher transactions.

"I was sweating and crying that day," he recalled. "I had borrowed money to start the business. Losing that amount almost broke me. What made me cry was when I called the number back and he picked up to say, ‘I have scammed you.’"

His complaint to OPay brought no resolution. They told him the money had been taken in several transactions through SportyBet, a betting site. "OPay said they cannot track the money or recover it from the platform," he said.

One AI-generated video ad by Shahzad Ali (@grantoffers) that also posed as OPay on TikTok read, "Do you know that today is your very last chance to receive the grant that OPay has prepared for you? If you have the app, click the link in this video, it will let you enter your phone number and check if you have an account to send you a N70,000 ($50.80) grant. Click now before the opportunity passes you by."

TikTok’s growing ad revenue vs victims' suffering

Mr Yusuf’s story is just one among many uncovered in this investigation. It shows that false AI-made adverts pretending to be trusted companies are increasingly showing up on TikTok, putting over 37 million Nigerian users at risk of financial fraud and data theft.

Some of these deceptive videos, posted by Abdul-Hamid (@jrbabz1), @nolimitations26, and GreatNews (@greatnews805), reused publicly available clips of the Emir of Kano, Lamido Sanusi, billionaire Aliko Dangote, and UBA Chairman Tony Elumelu, using AI to falsely show them endorsing scams.

While TikTok's rules ban scams and misleading content, this investigation found that fake ads still run as paid promotions. The platform's moderation issues are giving scammers a way to reach potential victims and make their schemes look credible through sponsored ads. More victims have reported being scammed through TikTok ads than on other platforms.

In the last five years, TikTok has quickly grown its advertising business and became a major money-maker for its parent company, ByteDance. Between 2020 and 2025, it made N127.29 trillion ($92.38 billion) in ad revenue. The platform's success relies on helping brands and businesses connect with users through targeted ads.

But the same system that helps real businesses reach audiences is being misused by scammers using AI. Experts say new AI tools have made it easier for fraudsters to create realistic fake videos that mimic trusted brands and people.

While this investigation focused on TikTok, similar AI-generated scam ads were also found on Facebook. This shows that fraudsters are using multiple platforms to spread fake investment schemes, bogus giveaways, and other financial scams with deepfake videos of trusted figures.

According to the Global State of Scams Report, people worldwide lose over $1 trillion each year to scams. In Nigeria, over $500 million is lost yearly to reported scams, which include social media fraud through deceptive ads, phishing messages, and fake websites, according to Nigeria’s National Information Technology Development Agency (NITDA).

Authorities have repeatedly warned about the rise of social media scams, but little attention has been given to how AI-generated ads sneak into the online ad system and reach users as paid promotions.

For Ahmad Wura, another TikTok user, the trap came with a different promise. He had spent months trading cryptocurrency, buying Bitcoin and Solana during dips and selling when prices rose. By September 2025, he had turned an initial investment of about N206,000 ($149.50) into crypto worth about N1 million ($725.73). He hoped this would help him start a new life after finishing his National Youth Service Corps (NYSC).

But everything changed one night in January 2026. While scrolling through TikTok before bed, he saw an ad for crypto mentorship that promised users could multiply their investments.

Just like Mr Yusuf, Mr Wura submitted his email and phone number, expecting to get more details. Instead, he woke up to find that the attackers had accessed his email and taken control of his Bybit wallet. By the time he got help from customer support days later, all his digital assets were gone.

"I was distressed," he said. "The email was gone. The Google Authenticator I use to authorize logins and transactions was also hacked." Mr Wura later found out that unauthorized activities happened on his Bybit account almost right after he submitted his email from the TikTok ad.

How users fall for these scams

To see how these fake ads work on TikTok, this reporter watched and saved 130 ads involved in the scams for five weeks between 21 April and 28 May. The ads used AI-generated voices and fake identities to appear legit while sending users to websites where they gave away personal and financial details.

Analysis showed that OPay was the most impersonated brand, appearing in 28 ads. Other frequently impersonated names included the United Bank for Africa (UBA), MTN, Airtel, and state governors like Lagos' Babajide Sanwo-Olu, Oyo's Seyi Makinde, and Osun's Ademola Adeleke, as well as Nigerian celebrities. The ads promised cash giveaways, grants, investment chances, free gadgets, and business support packages.

These fake ads were made in English, Pidgin, Yoruba, and Hausa, allowing them to reach different audiences across Nigeria. None of the ads reviewed by this reporter had labels to show they were AI-generated content, even though they featured synthetic voices and altered visuals to look like real people.

A common pattern was that scammers often played on fear of missing out, urgency, and claims of limited availability to push users into quick decisions. Words like "apply now," "click the link below to get yours," and "limited slots available" were often used.

Cybersecurity experts said such tactics fit with modern scams that rely on trust and urgency more than technical skill.

Scammers take advantage of users' trust

A closer look at the websites linked to the ads showed more warning signs. Their domains had no links to the companies or public figures they claimed to represent.

Checks on the websites through who.is Lookup, a tool that helps verify website ownership, showed that some were registered outside Nigeria. This made it hard for users to tell where their personal details were being sent.

While TikTok’s ad transparency system lets users click to see the advertiser's identity and country, these details were hidden in the scam ads, making it hard to know who paid for the promotions.

The advertiser accounts also raised suspicions. Many had few or no followers and no posts in their profile. Cybersecurity experts suggested that these accounts are often fake or created to hide ownership.

The investigation also found signs that scammers are trying to avoid being caught. Most of the ads had their comment sections turned off, stopping users from asking questions or warning others. In many cases, trying to share the ads outside TikTok led to error messages like "This action isn’t available for this post" and "Unavailable." This showed that these ads are highly personalized, targeting specific users.

Michael Ukachi, a cybersecurity expert who specializes in ethical hacking, said many scam campaigns aim to trick users into giving away personal information that can be used to access financial accounts.

"Users naturally believe they are dealing with a legitimate company and assume that the ads have gone through some checks. But scammers understand this and know that once TikTok shows the content as an ad, many users let their guard down due to their trust in the platform," Mr Ukachi explained.

He noted that AI tools are helping fraudsters create realistic videos, even in local languages. He mentioned that these tools are often sold on dark web markets to exploit weaknesses in automated moderation systems that struggle to catch rapidly changing AI-generated content.

"These scams are no longer basic," he said. "AI allows scammers to scale persuasion. They can create believable content quickly, test different messages, and adapt faster than moderation systems can respond."

TikTok’s removal policy and the reality

When asked about the ads identified during this investigation, TikTok’s Head of Communications for Sub-Saharan Africa, Keagile Makgoba, said the platform had removed the flagged adverts.

"In this case you shared, we can confirm that the relevant ads have been removed from the platform," Ms Makgoba said in an email to our reporter.

She added that TikTok works to stop scams on the platform, including investing in detection and reviews of fraudulent ads and content.

"TikTok prohibits fraudulent, deceptive, and misleading advertising, and when we find violations, we take action against the ad and, where necessary, the advertiser's account," she stated.

While the removal claim or the effectiveness of the policy cannot be confirmed independently, this investigation found that scam ads are still common on TikTok. This reporter has since collected over 20 more scam ads on the platform.

In response to questions about AI-enabled fraud and platform responsibilities, NITDA said digital platforms need to put effective safeguards against deceptive content.

The agency said platforms must strengthen their advertiser verification processes, improve detection systems, and respond quickly when harmful content is found.

"They should start by verifying advertisers to ensure that only genuine businesses can access their systems. Fraudulent activities must be quickly identified, with strong tools in place to catch scams before they spread."